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Fry Company Projected Income Statement For the Current Year Ending December 31 Sales (12,000 units) Less variable costs: $240,000 Variable manufacturing costs Variable selling costs

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Fry Company Projected Income Statement For the Current Year Ending December 31 Sales (12,000 units) Less variable costs: $240,000 Variable manufacturing costs Variable selling costs $60,000 36,0 Total variable costs 96,000 $144,000 Contribution margin Less fixed costs: Fixed manufacturing costs Fixed selling and administrative costs $85,000 35,000 Total fixed costs 120.000 S 24,000 Operating income Required A. Determine the break-even point in sales dollars. B. advertising expenditures were increased by $15,000. By how much will operating income C. The sales manager believed the company could increase sales by 1,000 units if increase or decrease if the advertising is increased as suggested? What is the maximum amount the company could pay for advertising if the advertising would increase sales by 1,000 units

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